100x25 -Women CEOs Speak -Women CEOs Speak Strategies for the next generation of female executives and how companies can pave the road. Research overview Fearless Girl

100x25 - Women CEOs SpeakStrategies for the next generation of female executives and how companies can pave the road.

Research overview

Fearless GirlSculpture by Kristen VisbalCommissioned by State Street Global Advisors

Supported by:

© 2016 Korn Ferry. All rights reserved 2

Can we see our way to 100x25?

6% of Fortune 500 CEOs are women§ The number has been doubling every five

years

24% of C-suite executives are women§ Could we achieve 116x25?

Complicating factors:§ 90% of new CEOs were president, division

head, COO and fewer than half of C-suite women hold these types of jobs

§ It takes 30% longer to place female CEOs (in U.S.)

§ When first named CEO, women are 4 years older and have held 1 additional senior position than men

How Women Become CEOs, According to Women Who Are or Were

The research was designed to develop a more nuanced understanding of:§ The common personal attributes and

workplace experiences that aided and prepared these women to become CEOs

§ The factors that led to promotions at key junctures in their careers

§ How the women overcame the organizational barriers they faced

§ What recommendations we can offer to accelerate development, fill the pipeline and prepare women for the CEO role


We interviewed 57 women and 38 took our executive assessment


§ Women CEOs share 17 of 20 traits with 99th percentile best-in-class CEO benchmark.

§ Confidence in women looks different§ We know the differentiating skills for women

who became CEO:

Identify potential early

§ These signs of potential can be measured and detected early in career


Illuminate the path to CEO


Many women got their start in STEM and business/econ/finance

40% STEM undergrad

19% business/econ/finance undergrad


Women described a pivot point moving from expert to leader


No single career approach to get to the top


Women CEOs aligned with the CEO benchmark on all but four traits

Higher Humility and lower Confidence§ Women were willing to credit other people and

circumstances, less willing to believe she has complete control over events and outcomes

Lower Openness to Differences and lower Credibility§ Women learn self-reliance and may benefit from

seeking out multiple alternative points of view even after they’ve made up their minds. Credibility scores indicate a willingness to not always do what was expected.


Key drivers included challenge and independence

Articulate roles in terms that engage women

§ 68% of women shared that they were motivated by a sense of purpose

§ 23% cited creating a positive culture as among their most important accomplishments


Skills that differentiate women who become CEOs

Experiences women CEOs cite as critical but hard to come by

§ OperationsWomen who had operational experience found it to be pivotal; women who didn’t thought it could have helped them be more prepared.

§ FinanceAlthough a few CEOs built their careers in finance, those who didn’t felt they needed a strong CFO or workaround to compensate.

§ GovernanceBoard directors can help advance a strategic agenda or stall it, so it’s critical to understand how to manage a board early on.

§ External relationsDealing with stakeholders and constituents outside the company, particularly investors and activist investors, was a pitfall for some of the women CEOs.


§ Women could be ready sooner but work harder and longer to get to the CEO role

§ Sponsors provide guidance and open doors to the right jobs and experiences

Ensure sponsors


Fueling the pipeline to achieve 100x25

§ Run, do not walk, toward P&L experience

§ Seek and learn from challenges

§ It’s about who you know, what you know, and who knows what you know

WOMEN

§ Be transparent when identifying potential leaders

§ Watch the feeder pool and avoid filtering out women at each stage

§ Frame executive roles and the CEO role to appeal to women

ORGANIZATIONS§ If you see potential, say

something§ Coach on business skills§ Explain roles and

assignments in context of future possibilities

MENTORS AND SPONSORS


Potential action items to better realize your talent pipeline

• Determine: What succession actions are your executives aware of? What are they prepared to support? How will they support?

• Is the organization set up to move people around for development?

• How willing are executives to sponsor high potentials?

• Gain buy-in from the board and executive teams

• Assess your Talent: cast the net wide and review your pipeline regularly.

• Scan for traits and drivers consistent with succession profile.

• Look at all levels.

• Provide regular feedback and ongoing discussions with talent.

• Ongoing review of pipeline funnel, succession impact, developmental roadmap with Executive Team.

• Find the right experiences and move people around. Be clear on what they must gain from these experiences.

• Create new career paths.

• Continue to review succession plans and re-assess regularly.

• Coaching and development support.

• Continually engage Executive Team.

• Consider: How robust are your succession processes?

• Determine your pipeline:

• Percent women – at what levels? In what functions?

• What is the time to promotion?

• Where are women dropping off?

• Determine: What is the difference between our declared policies vs. actual practices?

Talent Identification & Readiness Assessment

Talent Development & Ongoing Review

Executive Review & Plan

Organization Readiness Review

Ongoing Awareness & Mitigation of Challenges – Addressing Unconscious Bias and Regular Check-ins “If not, why not?”

Thank you!

Link to the full report: HERE

Documents

100x25 -Women CEOs Speak -Women CEOs Speak Strategies for the next generation of female executives and how companies can pave the road. Research overview Fearless Girl